v3.25.4
Borrowed Funds (Tables)
 12 Months Ended
Dec. 31, 2025
Debt Disclosure [Abstract]  
Schedule of Debt
The following table summarizes our borrowed funds:
December 31,
20252024
Short-term borrowings(1)
FHLB advances$4,000 $2,750 
Total short-term borrowings
$4,000 $2,750 
Long-term debt
FHLB advances
$7,151 $10,650 
Junior subordinated debentures585 582 
Subordinated notes448 444 
Total long-term debt
$8,184 $11,676 
Borrowed Funds
$12,184 $14,426 
Weighted average interest rate on short-term borrowings
3.92 %4.67 %
Weighted average interest rate on long-term debt
4.53 %4.94 %
(1)Borrowings with original maturities of one year or less are classified as short-term borrowings.
Schedule of Total Interest Expense
The following table summarizes our total interest expense:

Year Ended December 31,
202520242023
Interest expense on short-term borrowings
$110 $449 $370 
Interest expense on long-term debt
496 768 278 
Total interest expense(1)
$606 $1,217 $648 
(1)This excludes amortization expense of $7 million, $8 million, and $8 million during the years ended December 31, 2025, 2024 and 2023, respectively.
Schedule of Federal Home Loan Bank, Advance, Branch of FHLBank
The contractual maturities and the next call dates of FHLB advances outstanding as of December 31, 2025 were as follows:
Contractual MaturityEarlier of Contractual Maturity or Next Call Date
Amount
Weighted Average Interest Rate
Amount
Weighted Average Interest Rate
2026$7,001 4.10 $7,250 4.08 
20271,500 3.91 1,500 3.91 
20282,400 4.40 2,400 4.40 
2032250 3.50 — — 
Total FHLB advances$11,151 $11,150 
Schedule of Subordinated Borrowing
The following table presents contractual terms of the junior subordinated debentures outstanding as of December 31, 2025:
IssuerInterest Rate of Capital Securities and Debentures
Junior Subordinated Debentures Amount Outstanding
Capital Securities Amount OutstandingDate of Original IssueStated Maturity
New York Community Capital Trust V (BONUSES Units) (1)
6.00 %$148 $142 November 04, 2002November 01, 2051
New York Community Capital Trust X (2)
5.58 %124 120 December 14, 2006December 15, 2036
PennFed Capital Trust III (2)
7.23 %31 30 June 02, 2003June 15, 2033
New York Community Capital Trust XI (2)
5.60 %59 58 April 16, 2007June 30, 2037
Flagstar Statutory Trust II (2)(3)
7.20 %26 25 December 26, 2002December 26, 2032
Flagstar Statutory Trust III (2)(3)
7.42 %26 25 February 19, 2003April 7, 2033
Flagstar Statutory Trust IV (2)(3)
7.20 %26 25 March 19, 2003March 19, 2033
Flagstar Statutory Trust V (2)(3)
6.17 %26 25 December 29, 2004January 07, 2035
Flagstar Statutory Trust VI (2)(3)
6.17 %26 25 March 30, 2005April 7, 2035
Flagstar Statutory Trust VII (2)(3)
5.73 %51 50 March 29, 2005June 15, 2035
Flagstar Statutory Trust VIII (2)(3)
5.67 %26 25 September 22, 2005October 7, 2035
Flagstar Statutory Trust IX (2)(3)
5.43 %26 25 June 28, 2007September 15, 2037
Flagstar Statutory Trust X (2)(3)
6.48 %15 15 August 31, 2007September 15, 2037
Total junior subordinated debentures
$610 $590 
(1)Callable subject to certain conditions as described in the prospectus filed with the SEC on November 4, 2002.
(2)Callable at any time.
(3)Excludes Flagstar Bancorp acquisition fair value adjustments of $25 million, which amortizes over the contractual term.
As of December 31, 2025 and December 31, 2024, we had a total of $448 million and $444 million, respectively, of fixed-to-floating rate subordinated notes outstanding:
Date of Original IssueStated MaturityInterest RateOriginal Issue Amount
(1)
November 6, 2018November 6, 20286.928%$300
(2)
October 28, 2020November 1, 20307.764%$150
(1)The interest rate will reset quarterly to an annual interest rate equal to the then-current three-month SOFR plus 304.16 basis points payable quarterly.
(2)The Notes will bear a variable rate tied to SOFR thereafter until maturity. We have the option to redeem all or a part of the Notes beginning on November 1, 2025, and on any subsequent interest payment date.